This is a contract between the parties setting out how their individual and joint assets are to be divided between them, if they separate. Unlike Court Orders, they do not have to be just and equitable.
Some advantages of a Binding Financial Agreement are:
1. Parties are able to maintain privacy upon separation about the distribution of assets between them.
2. Both parties are aware of what property they will be receiving in the event of a marital or defacto breakdown, without resorting to lengthy, costly and stressful litigation.
3. It protects the assets acquired prior to the commencement of the marriage or de facto relationship.
4. Promotes harmony between the parties.